Conexant's Multifunction Home Networking Chipset Offered in New Compaq Presario EZ2000 Series PCs.

Business Editors and High-Tech Writers

CES 2000

NEWPORT BEACH, Calif.--(BUSINESS WIRE)--Jan. 6, 2000

Conexant's LANfinity(TM) Chipset Combines V.90 Dial-Up Modem, Home

Phoneline Networking and Ethernet Connectivity on a Single PCI Card 

Conexant Systems Inc. (Nasdaq:CNXT) Thursday announced that Compaq has selected its LANfinity solution to deliver multifunction home networking and broadband connectivity in the new Compaq EZ2700 PC, announced yesterday at the Consumer Electronics Show (CES) in Las Vegas.

Conexant's LANfinity solution is the first to enable the development of a single peripheral component interconnect (PCI) card that combines V.90 dial-up modem and 10/100 Mbps Ethernet connectivity plus home phoneline networking in support of Home Phoneline Networking Alliance (HomePNA) standards.

The combination of multifunction networking and broadband connectivity will reduce telephone and service provider bills by enabling simultaneous shared Internet access over a single 56Kbps dial-modem link or higher-speed broadband pipe into the home, without installing multiple external add-in cards or additional software drivers.

It will also eliminate conflicts between applications using the same phone line or cable link at home, while enabling high speed networking in enterprise LANs. Additionally, home networking products will enable users to share files, printers, scanners and storage devices among multiple family members, and are likely to spawn new capabilities for multi-system data backup and networked gaming.

"Conexant's technology provides the foundation for consumers to enjoy the benefits of home networking technology right out of the box," said Mark A. Carpenter, director, new desktop product marketing, Compaq Computer Corp.

"The LANfinity solution combines robust, industry-standard communications functionality with the flexibility needed to support new features such as linking to corporate LANs, external cable modems, or digital subscriber line modem technology."

"We're pleased to work with Compaq to combine multifunction networking and broadband connectivity in a single, affordable solution for their desktop PCs," said Chee Kwan, division director of broadband products at Conexant.

"This is a key endorsement for Conexant's home phoneline networking technology that provides PC OEMs with a unique multifunction architecture for the expanding broadband and networking markets. Compaq's new PCs will offer consumers a powerful connectivity solution both at home and in the office."

According to Cahners In-Stat Group, more than 20 million U.S. households will have multiple PCs this year alone. Cahners In-Stat Group also estimates that the U.S. home networking marketplace will grow to $1.4 billion by 2003, with the vast majority based on products using HomePNA specifications.

Conexant is a founding member of the more-than-100-member HomePNA organization, an association of industry-leading companies working together to ensure adoption of a single, unified phoneline networking standard.

About Conexant

With revenues of more than $1.2 billion, Conexant is the world's largest independent company focused exclusively on providing semiconductor products for communications electronics.

With more than 30 years of experience in developing communications technology, the company draws upon its expertise in mixed-signal processing to deliver integrated systems and semiconductor products for a broad range of communications applications.

These products facilitate communications worldwide through wireline voice and data communications networks, cordless and cellular wireless telephony systems, personal imaging devices and equipment, and emerging cable and wireless broadband communications networks.

The company aligns its business into five product platforms: Network Access, Wireless Communications, Digital Infotainment, Personal Imaging, and Personal Computing. Conexant is a member of the Nasdaq-100 Index, which represents the largest and most active stocks listed on The Nasdaq Stock Market across major industry groups. For more information, visit Conexant's Web site at www.conexant.com.

This news release contains statements relating to future results of the company (including certain projections and business trends) that are "forward-looking statements" as defined in the Private Securities Litigation Reform Act of 1995. Actual results may differ materially from those projected as a result of certain risks and uncertainties. These risks and uncertainties include, but are not limited to: the company's ability to integrate Maker into its operations; to achieve the synergies necessary to produce accretion to cash earnings within 12 months of the close of the transaction; growth of the market for Maker's products as to achieve an annualized revenue run rate of $100 million by the end of 2001; global and market conditions, including, but not limited to, the cyclical nature of the semiconductor industry and the markets addressed by the company's and its customers' products; demand for and market acceptance of new and existing products; successful development of new products; the timing of new product introductions; the availability and extent of utilization of manufacturing capacity; pricing pressures and other competitive factors; changes in product mix; fluctuations in manufacturing yields; product obsolescence; the ability to develop and implement new technologies and to obtain protection for the related intellectual property; the successful implementation of the company's diversification strategy; labor relations of the company, its customers and suppliers; timely completion of Year 2000 modifications by the company and its key suppliers and customers; and the uncertainties of litigation, as well as other risks and uncertainties, including but not limited to those detailed from time to time in the company's Securities and Exchange Commission filings. These forward-looking statements are made only as of the date hereof, and the company undertakes no obligation to update or revise the forward-looking statements, whether as a result of new information, future events or otherwise. Other brands and names contained in this release are the property of their respective owners.